Performance Overview

Reliability and effectiveness of the risk management and internal control systems

In 2018, the Internal Audit Unit assessed the reliability and effectiveness of the risk management and internal control systems.

Results of the assessment showed that FPC’s risk management and internal control systems are on the whole reliable and effective:

• the elements of the systems are structured in accordance with the principles of, and approaches to, setting up such systems approved by the Company’s Board of Directors, as well as with the COSO Framework and GOST ISO 31000
• the Company notes positive changes in its holistic understanding of the risk management process, including goals, processes, risks, and control procedures
• certain issues found within the key risk management process have not had any significant impact on the Company’s performance.

KPI	Target	Increase in CPI growth rate by 1.5%Vs the figures used for assumptions underlying the strategy for 2019–2021	Decrease in CPI growth rate by 1.5%Vs the figures used for assumptions underlying the strategy for 2019–2021
Passenger km travelled (for 2025), passenger km	106.8	117.4 (+9.9% vs the target)	97.2 (–9.0% vs the target)
EBITDA (total for 2019–2025), RUB billion	277.0	285.9 (+3.2% vs the target)	268.6 (–3.0% vs the target)
Net profit (total for 2019–2025), RUB billion	73.2	77.5 (+5.9% vs the target)	69.1 (–5.5% vs the target)

KPI	Target	Increase in CPI growth rate by 1.5%Vs the figures used for assumptions underlying the strategy for 2019–2021	Decrease in CPI growth rate by 1.5%Vs the figures used for assumptions underlying the strategy for 2019–2021
Passenger km travelled (for 2025), passenger km	106.8	97.8 (–8.5% vs the target)	116.7 (+9,2% vs the target)
EBITDA (total for 2019–2025), RUB billion	277.0	264.5 (–4.5% vs the target)	289.7 (+4,6% vs the target)
Net profit (total for 2019–2025), RUB billion	73.2	62.9 (–14.2% vs the target)	83.6 (+25.9% vs the target)